Windsor's wait and see: Workers laid off for 2 weeks 'just the beginning'
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For thousands of Stellantis workers in Windsor-Essex, Friday marked their last shift for two weeks.
The manufacturer says it's pausing production at the Windsor Assembly Plant – where employees assemble Pacifica minivans – in large part due to U.S. President Donald Trump's newly implemented tariffs.
On Thursday, the Trump administration kicked off 25 per cent tariffs on imported vehicles. In early May, the administration will apply the same tariff to auto parts.
Companies importing under the Canada-United States-Mexico Agreement (CUSMA) will have the opportunity to pay lower tariffs based on the volume of U.S. content in their cars and parts, the administration has said.
But that process is still murky and undefined, leaving manufacturers – and their employees – in financial limbo.
According to Stellantis, 3,200 workers at the WAP will be off the job for now. But there are likely to be hundreds more in the region that will be affected by the downtime.
That's because a web of local feeder plants provide the parts needed to assemble vehicles like the Pacifica. Unifor Local 195, which represents some of these facilities, says at least 600 jobs could be immediately affected.
Jan Griffiths, a former auto supplier executive, says "this is just the beginning."
"The auto assembly plants sit at the top of the pyramid, if you will," she said. "There's a multitude of businesses, parts manufacturers, that support this industry. And we are inextricably linked, Canada, Mexico, the U.S. [...] and you cannot unravel those supply chains overnight."
Glenn Stevens Jr., head of MichAuto — an industry association connected to the Detroit Regional Chamber — says he isn't aware of any suppliers on the U.S. side of the border who have been hit with layoffs yet as a result of the Stellantis closure in Windsor.
"But we know that they will be impacted, of course, as are the shift workers at the plant," he said.
He said companies he's spoken with are figuring out how best to weather the storm.
"Generally what they're trying to do in a situation like this, where you know your input costs are going to go up, you're trying to conserve cash. You're trying to do as much as you can to cut back, cut costs wherever you can. Look at your inventories," he said. "And then there's just a lot of assessment of the supply chain going on, a lot of scenario planning."
The companies aren't just dealing with automotive tariffs – Trump has slapped tariffs on Canadian steel and aluminum, as well as a host of other countries, that will affect the industry.
"There's no question that it's a significant shock to the system, that companies are making decisions," he said.
Down the road from the WAP, some retired auto workers criticized the U.S. trade war.
"They're hurting everybody and they're going to over here and in the states," said Wayne Ferguson. "There's no reason for them really.
"It's going to hurt the city big time."
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